Axis Flexi Cap Mutual Fund Review- Should you stay invested?

by Parveen Kumar Fintech Writer

Starting an investment journey necessitates having a thorough awareness of the constantly changing mutual fund market. Of the many options available, Axis Flexi Cap Mutual Fund has drawn notice for its innovative approach to wealth development.

The dilemma of whether to continue investing in the Axis Flexi Cap Mutual Fund looms as investors negotiate the complexities of the financial markets. Keeping track of investment instrument performance in an unpredictable economic environment is critical.

What is Axis Flexi Mutual Fund?

Axis Mutual Fund has many options, and one of them is its flexi MF. It is an open-ended equity strategy that invests in small--, mid-, and large-cap stocks. To achieve long-term financial appreciation, the main goal of this investment is to invest in a dynamic mix of stocks and equity-related assets across market capitalizations.

Who Should Buy Axis Flexi Mutual Funds?

Axis Mutual Fund is recommended for people willing to afford risk in their investment scheme. Flexi-cap schemes are a valuable tool for long-term wealth creation for investors.

Should You Keep the Fund?

Falling markets hurt mutual funds that invest in stocks. In any case, investors shouldn't be concerned if their equity investments underperform. They should worry only if the Axis Mutual Fund consistently underperforms for over a year or two.

Investors should not sell their mutual funds if they begin to perform poorly for a brief period. However, keeping your eyes on your objective and making investments is essential. If unsure, you can engage a mutual fund advisor about investing in mutual funds.

Axis Flexi Cap Mutual Fund Details

Expense ratio - 0.73%

Exit load - 1.0%

AUM - Rs. 11,120 Cr

Lock-in - No lock-in

Age - 6 years and one month

Benchmark - NIFTY 500 TRI

Minimum investment - Lump Sum Rs. 5,000 and SIP Rs. 500

What are the Returns Offered by Axis Flexi Mutual Fund?

Since its launch six years and one month ago, the Axis Flexi Cap Fund has generated average annual returns of 14.32%. Here are some more numbers:

One year return - 17.74%

Three year return - 13.99%

5 year return - 15.46%

Should You Buy the Fund?

This fund has an apparent large-cap tilt because of its stringent quality bias. Fund management searches for companies at turning points in the market, such as those experiencing legislative changes, industry mergers, operating in a sunrise sector, gaining market share due to competitive advantages, or increasing capital efficiency.

Even with a reasonably diverse portfolio, the fund holds sizable stakes in the top few large-cap investments. Within the brief period of its inception, the fund has experienced two discrete phases. In the first few years, it outperformed peers and the index consistently but has fallen dramatically behind in the last two years. Investors must wait for its favored growth style to reappear for a better return.

Conclusion

The evaluation of Axis Flexi Cap Mutual Fund encourages thoughtful deliberation amid the maze of investment options. Remaining invested requires a careful analysis of one's financial objectives and the state of the market. Investors are encouraged to stay informed, periodically reevaluate their goals, and make decisions consistent with their investment objectives.